Ireland’s national home retrofitting programme aims to achieve 500,000 upgrades to B2 Ber standard by 2030. Unfortunately, according to a recent review from the ESRI, an independent think tank, we are significantly behind the targets set in our Climate Action Plan and, even with accelerated deployment, are unlikely to meet them.
Among the barriers it identifies is the high capital cost of retrofits, as well as the disruption involved in undertaking such work.
While banks can’t do much to ease the disturbance, they can help smooth the financial strain.
“Banks play a critical role in helping to encourage and scale retrofitting, which is so important if we are to meet our energy efficiency and building emissions targets. Banks can provide people with the backing and the confidence to do the work they want to, to make their homes more comfortable,” says Yvonne McCarthy, AIB’s head of sustainability research.
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While the Government grant system is generous, covering up to 80 per cent of the cost of attic and wall insulation, for example, there will, however, always be a need for some level of additional financial input from homeowners.
“Sometimes people can bridge the gap themselves but for many others, financial institutions are the key to providing the financing needed to make their homes warmer and more energy efficient,” says McCarthy.
AIB supports customers to retrofit their homes by combining accessible, lower-cost green finance along with clear, practical guidance and support.
“Through our participation in the Government-backed Home Energy Upgrade Loan Scheme, we offer relatively low‑cost loans to top up the grants available for retrofitting, making it easier for households to spread the upfront costs over time, while improving the comfort and energy efficiency of their homes immediately,” she says.
“We also provide practical tools and advice through our green living hub and our sustainability advisers. Last year, we published our home retrofit report, which helps customers understand retrofit options, costs, available grants and the long‑term benefits of improving a home’s Ber rating. Finally, we have our Solar PV Calculator, which gives homeowners personalised recommendations on the number of solar panels needed, estimated payback period, SEAI grants and expected Ber improvements.”
A cosier home is an end in itself, as indeed is lowering your carbon footprint. But the additional benefits of a deep home retrofit include not just the potential to use less energy but a boost to your home’s resale value, should you choose to sell.
“Earlier this year, analysis by Geowox, a data and home valuation company, indicated that there is a premium of close to €100,000 for a home with a high energy rating compared with one which is less efficient to heat,” says McCarthy.
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- This year has been marked by war on multiple fronts, and a glaring lack of energy independence has become evident over a few short weeks. A green revolution, however, presses on: Ireland has made remarkable progress in solar generation, which is becoming an important presence in its energy mix, writes Kevin O’Sullivan, former editor of The Irish Times. Read more.
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“We find people now often consider the purchase of a home in view of its running costs – something that is becoming even more critical perhaps in light of the current geopolitical uncertainties and energy challenges. More and more, people want to know the potential cost of running a household, as well as the initial purchase price,” she adds.
“We are seeing this play out every day in the huge appetite for our lower-cost green mortgages for houses above a B3 Ber rating.”
Last year, 62 per cent of AIB mortgage lending in the Republic of Ireland was green mortgages.
Businesses are doing their bit too, with many switching to solutions that are not just greener, but which save them money too.
Workplace furniture maker AJ Products helps its customers to find practical, sustainable solutions to their furniture needs, whether in offices, schools or factories.
The company offers more than 15,000 products, combining Scandinavian design with sustainable materials. It is certified to quality and environmental standards ISO 9001 and 14001, with much of the Swedish company’s product range crafted from its own sustainably managed forests.
AJ Products has also developed a circular strategy that ensures that – from design, to manufacturing, through to use and end of life recycling – reuse is baked into every stage of its production process.
That means specifying recycled and recyclable materials as much as possible at the start of their life and designing products that are easy to disassemble for their component parts at the end, making it easier to repair and reuse products rather than simply throw them out.
Unsurprisingly, the company has undertaken extensive commercial retrofits of its own premises.
“Globally, we are implementing solar panels across all of our main head offices,” says Tanya Cawley, country manager, AJ Projects Ireland.
The company has also upgraded to energy-saving, sensor-controlled lighting. “If you don’t move here, everything goes dark around you,” she says.
AJ Products also operates according to a kaizen model, a Japanese philosophy of continuous, incremental improvement involving all employees, from shop floor to C-suite, with a view to eliminating waste and boosting efficiency.
“It’s everything from being more efficient with our paperwork to increasing wellness at work, which is really important to us, to reusing the wooden off cuts from our factories to heat our buildings,” she says.
It’s a sustainability mindset that extends to its customers, helping them to meet their environmental, social and governance targets too. “We now offer more than 4,000 spare parts, giving even more longevity to the products we sell.”
